Is MUELLER INDUSTRIES INC (NYSE:MLI) suited for quality investing?

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if MUELLER INDUSTRIES INC (NYSE:MLI) is suited for quality investing. Investors should of course do their own research, but we spotted MUELLER INDUSTRIES INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

What matters for quality investors.

• MUELLER INDUSTRIES INC has demonstrated significant revenue growth over the past 5 years, with a 6.4% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• MUELLER INDUSTRIES INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 56.2% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
• With a favorable Debt/Free Cash Flow Ratio of 0.0, MUELLER INDUSTRIES INC showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
• MUELLER INDUSTRIES INC exhibits impressive Profit Quality (5-year) with a 116.0% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
• MUELLER INDUSTRIES INC has consistently achieved strong EBIT growth over the past 5 years, with a 34.39% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• MUELLER INDUSTRIES INC demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

Zooming in on the fundamentals.

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to MLI. MLI was compared to 132 industry peers in the Machinery industry. Both the health and profitability get an excellent rating, making MLI a very profitable company, without any liquidiy or solvency issues. MLI has a valuation in line with the averages, but it does not seem to be growing.

For an up to date full fundamental analysis you can check the fundamental report of MLI

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.